Lebanon's PM warns against economic collapse in absence of harsh measures

Source:Xinhua Published: 2019/4/17 21:22:35

Lebanon's Prime Minister Saad Hariri warned on Wednesday against an inevitable collapse in economy if the government does not approve the harshest austerity budget in the nation's history, local media reported.

"If we do not take the necessary measures in the 2019 budget, we will reach a very bad situation after one year," Hariri was quoted as saying by Lebanon 24, a local news agency.

Hariri's remarks came following a session held by the parliament to pass necessary legislations.

The budget will not witness wages cut for limited income people, he added.

Hariri emphasized the need to undertake necessary reforms which will be at the expense of spending in Lebanon's public sector.

Endorsing a state budget that slashes the deficit is among the measures the government has pledged to take as part of the key financial and economic reforms recommended at CEDRE Conference last year.

To curb Lebanon's budget deficit, which has increased to over 11 percent of GDP, the cabinet will seek to reduce the deficit by 1 percent each year over the next five years by limiting government expenditures.

Posted in: MID-EAST

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